Sioux Falls bus riders soon may pay a bit more

Fares have remained $1 since 1995, but rising costs prompt look at increase

Dec. 4, 2012

Samantha Lane and her daughter, Alexa, get onto a Sioux Area Metro bus Monday at the downtown transfer station in Sioux Falls. City officials are considering what would be the first increase in fares for bus riders since 1995. / Jay Pickthorn / Argus Leader

Sioux Falls bus riders could see increased fares next year for the first time since 1995.

Despite inflation, increased fuel prices and labor costs, Sioux Area Metro fares for a fixed-route ride have remained at $1, and paratransit rides $2. That puts the city’s fares in the lower third compared to about two dozen other cities, transportation planner Sam Trebilcock said.

“I think it’s due time we look at it,” Trebilcock said. “It’s been considered over a 17-year period a couple of times, and it’s something you need to look at every so often. I don’t think any business keeps the cost of their product the same for that period of time.”

The Public Transit Advisory Board discussed a draft of the fare study at a recent meeting, and another presentation will be made in January when the study is complete. A recommended rate increase has not yet been determined, said Trebilcock, the city’s liaison for the board.

Trebilcock also plans to schedule meetings for public input. The board could make recommendations based on the study, and the City Council would vote on changes.

Increased ridership has helped Sioux Falls maintain revenue. Sioux Area Metro had given 981,665 rides through October and is on track to be up 4 percent over last year, General Manager Eric Meyerson said.

Most riders use the $25 monthly pass. If rates were adjusted for inflation since 1995, a single ride would cost $1.43 and a monthly pass $35, Trebilcock said. But that’s just a simple calculation, not a recommendation for fare increases, he said. Another part of the study looks at how rate increases can affect ridership.

“We don’t want to raise rates and then have fewer people ride on the bus; that would potentially hurt us more than it would help us,” Trebilcock said.

The bus is primary transportation for 27-year-old Ashley Bickett, who rides up to four times a week from her home in southwestern Sioux Falls. She was waiting at the downtown switching station Monday with her 10-day old son after doing business at the Minnehaha County Courthouse. She usually pays each time she rides, which is $1, plus another $1 if she needs to make a transfer. Another option is a $3 day pass.

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“It’s cheaper than what it would be to have your own car, I guess,” she said, adding she would be a little frustrated if rates go up.

LouAnn Nelson has been riding the Sioux Area Metro buses for two years, and doesn’t want a fare increase.

She also wishes the buses went to the Avera Heart Hospital in southwestern Sioux Falls.

“You pay both ways, but I don’t have a car, and when you don’t have a car it’s a blessing,” she said.

Meyerson said it’s too soon to tell how much fares could increase, and said it’s a balance to determine price adjustments while maintaining ridership. Some cities have raised rates and seen the same core groups continue to ride but make fewer trips.

“Whatever fare adjustments are made, they need to be made to maintain ridership at at the current level, or encourage growth,” Meyerson said.

That’s why public input is key, said Deb Nelson, a member of the Public Transit Advisory Board.

“We impact a lot of people by raising it and while it would be irresponsible not to take a look at (fares), it would be irresponsible for us not to talk to the riders and really take a look at how we’re impacting them,” she said.

Fares cover about 15 percent of the cost of fixed-route operations and 9 percent of paratransit operations. Next year, riders are expected to contribute $800,000 of the $11.5 million operating budget. Federal and local subsidies covering the rest.